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New Member
posted Jun 6, 2019 2:00:43 AM

Cost of purchases

when it says "tell us the cost of your goods" are they asking what it cost me to make each product that I have in my entire inventory for the whole year or just the cost of goods for the products that sold?  Isn't this question already asked when it asks what the value of your inventory is at the beginning and end of the year? I'm really confused by this.

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1 Best answer
Intuit Alumni
Jun 6, 2019 2:00:45 AM

The beginning and ending inventory values simply show the value of what was on hand at the beginning of the year and the ending of the year.  The other numbers you are providing take care of what happened in between.

Therefore, all the additional details you are asked to provide pertain to the costs you incurred through the entire year for any items that you produced or purchased for resale during the year.  This is not only for items that sold, but for any items that were produced even if they remained in the inventory at the end of the year.  TurboTax will then take all of that information to determine the cost of goods sold for your business. 


1 Replies
Intuit Alumni
Jun 6, 2019 2:00:45 AM

The beginning and ending inventory values simply show the value of what was on hand at the beginning of the year and the ending of the year.  The other numbers you are providing take care of what happened in between.

Therefore, all the additional details you are asked to provide pertain to the costs you incurred through the entire year for any items that you produced or purchased for resale during the year.  This is not only for items that sold, but for any items that were produced even if they remained in the inventory at the end of the year.  TurboTax will then take all of that information to determine the cost of goods sold for your business.